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Gold going up since year 2002.Inflation, deflation or stagflation, which one will unfold next and what we can do to protect our money? While the world economy was recovered from emergency room, I don't expect the patient can do much exercise and be exciting.  The way the doctor treated the patient is to give him red bull to borrow from his future energy to boost his medical report.  So what will come out later?  The patient was not only mistreated, his problem still there except the faked report can give mentally pleasure at the moment.  Both Doctor and patient are happy and the patient family keeps paying the bills because their family member is happy.  They tend to believe he's getting better and listen to the talk head doctor.  But why and how this could happen in front of so many eyes?  Because human tends to believe hope and even a false hope they would like to believe.

 

 

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The bill is not delivered yet but it will come one day which is the inflation ahead of us.  There is no way of creating something from nothing.  I have been watching closely how gold price been affected by the recent small crash of stock market.  It stands still.  I remember back then in the big crash in 2008, gold was pulled down by the sudden rally of dollar cause by massive liquidation.  However this time, gold just stand still and even gradually climbing up.  It is quite rare both dollar and gold go up at the same time.  That means if dollar drops back to its support level, gold will be boosted big time and could hit $1,400 by this year.  Another observation on bonds to react to the recent crash, bonds rally because of safe heaven reason, however it shrinks back quickly compared to gold.  To tell which one is the safe heaven, it is as simple as 1 + 1 in math.  Even dollar can continue to rally, but once the water stop flowing through the pipe, the pipe will dry up eventually.  The destination of the liquidity would be commodity market because those are hard assets and never vanish like the dollar paper.  Believe or not, gold is the king of the commodity family because it is the most liquid-able, the most wildly acceptable and the most portable among the commodity family.  I will gradually accumulate gold as long as I still can afford and good luck to all.

Just check out some forums

Just check out some forums and some people recommends natural gas over gold.   Investment wise probably true, however for preserving money, physical gold is a must.  How do you carry natural gas during a crisis and how do you trade it with food in case paper money won't be accepted anymore?  Think carefully and you would know which one is which.  Just my two cents.